Martinez v. Meyers

Bill to Correct Guardianship Settlement. Guardian and Ward; Investment; Liability for Profits. — Where, by a single transaction, a guardian invested the funds of his ward in railroad stocks and bonds, and then sold the bonds for a sum equal to the amount invested, and afterwards sold the stock for $2,603.00, and fraudulently represented that the profit was only $100.00, he was liable for the balance of the proceeds of the stock.

Appeal from Mobile Law and Equity Court. Heard before Hon. Saffold Bernex. Bill by Mary J. Martinez and others against Elizabeth D. Meyers and others to correct a guardianship settlement on the ground of fraud. From a decree sustaining demurrer to part of the bill, complainants appeal. The allegations of the bill to which demurrers were sustained is that respondent, as guardian, invested a sum of money of the wards in bonds and stocks of a railroad company, the said transaction being single, and that she then sold the bonds alone for enough money to replace that invested, and had the stock left and that she later sold the stock for $2,603, which was all profit, but fraudulently represented that the profit was only $103, and defrauded the wards out of the other $2,500. The bonds and stocks were in those of the Meridian Light & Railroad Company. The bill was not subject to the demurrer, and the. court was in error in sustaining the same. — Meyers v. Martinez, 172 Ala. 641; s. c. 167 Ala. 456; s. c. 162 Ala. 562. The court properly sustained the demurrer. —Martinez v. Meyer, 167 Ala. 456.